Dingdong (Cayman) (DDL) Q4 2025 earnings summary

Executive summary

• Achieved eighth consecutive quarter of GAAP profitability and thirteenth consecutive quarter of non-GAAP profitability, with year-over-year revenue growth for eight straight quarters.

• Maintained positive operating cash flow for ten consecutive quarters, with cash owned (net of short-term borrowings) rising to RMB3.14 billion.

• Entered a definitive agreement to sell China business to Meituan, with plans to use proceeds for share repurchases and/or dividends.

Financial highlights

• Revenue rose 5.7% year-over-year to RMB6,242.6 million (US$892.7 million); GMV up 2.4% to RMB6,703.2 million.

• Net income was RMB33.6 million (US$4.8 million), down from RMB91.6 million year-over-year; non-GAAP net income was RMB50.8 million (US$7.3 million), down from RMB116.7 million.

• Gross margin decreased to 29.3% from 30.2% year-over-year; cost of goods sold as a percentage of revenue increased to 70.7%.

• Basic and diluted net income per share were RMB0.10 and RMB0.09, respectively; non-GAAP basic and diluted EPS were RMB0.15 and RMB0.14.

• Cash and cash equivalents, restricted cash, and short-term investments totaled RMB3,976.8 million as of December 31, 2025.

Outlook and guidance

• Management emphasized strategic resilience and strong execution, highlighting momentum for long-term initiatives.

• Plans to allocate proceeds from the China business sale to shareholder returns upon transaction closing.